【HaiChuan Chemical Project Updates】Public announcement on the planning for a 1.1 million-ton coking facility with associated dry quenching system at Ningxia Qinghua

Ningxia Qinghua Group is one of the subsidiaries of China Qinghua; it was established in 2006 and is located in the Taisunshan Development Zone in Wuzhong City, Ningxia Hui Autonomous Region. Relying on local coal resources, the group has established the Ningxia Qinghua Taishan Coal Chemical Circular Economy Industrial Park, which integrates activities such as mine exploitation, clean coal processing, coal coking, methanol production from coke oven exhaust gases, and logistics. The park covers an area of 16,000 mu. The Ningxia Qinghua Industrial Park follows the approach of taking the coal chemical industry as its core and pursuing a circular economy based on integrated production. The park has coal reserves of nearly 3 billion tons, and plans to build projects including a mine with an annual production capacity of 15 million tons, a coal washing plant with an annual capacity of 6 million tons, a coking plant with an annual capacity of 2.2 million tons, a facility for producing methanol from coke oven exhaust gas with an annual capacity of 300,000 tons, two coal gangue power plants with a combined annual capacity of 1.2 million KW, a calcium carbide plant with an annual capacity of 1 million tons, a facility for producing methanol from calcium carbide furnace gas with an annual capacity of 1.2 million tons, a project to produce 100 million bricks from ash and slag, as well as a modern logistics facility with an annual handling capacity of 30 million tons. An investment of 20 billion yuan is planned. Once the project is fully completed, it is expected to generate annual sales revenue of 25 billion yuan and an annual profit of 4 billion yuan, thereby providing employment for over 20,000 people. To date, the group has invested nearly 7 billion yuan in its projects, and it employs over 2,600 people. The first-phase coking project with a capacity of 1.1 million tons began full operation in July 2008, while the first-phase methanol project with a capacity of 150,000 tons started production in October 2010. A coal mine with an annual production capacity of 6 million tons and a coal washing plant with a capacity of 3 million tons are operating normally. The second-phase project mainly includes a 1.1 million-ton coking project, a 150,000-ton/year methanol project, a project for producing low-carbon aromatics and olefins from methanol, a coal gangue comprehensive utilization power plant, and a biochemical treatment facility. Among them, the coal gangue comprehensive utilization power plant project of Ningxia Qinghua Group has been included in the grid plan for the 12th Five-Year Plan period of Ningxia Power Grid Company, and it will be invested and constructed by Ningxia Qinghua Coal Chemical Group Co., Ltd. The entire project was scheduled to begin in 2012; the first unit was planned to be completed and put into operation by the end of 2013, while the second unit was scheduled to be completed and operational in 2014. The second-phase methanol project produces 150,000 tons per year of methanol using coke oven gas, which generates 1.1 million tons of coke per year and is supplied to external parties, as raw material. The methanol-to-low-carbon aromatics with co-production of olefins project covers an area of 500 mu, with a planned processing capacity of 300,000 tons per year of methanol. The coal resources currently allocated to Ningxia Qinghua Group consist of 9 mining areas in four districts: Weizhou, Mengcheng, northern Siguquan, and Yaoshan. The types of coal include coking coal, 1/3 coking coal, gas coal, fat coal, anthracite, and non-caking coal. The plan aims to achieve an annual mining capacity of 10.2 million tons. Adhering to the philosophy of \"planning at a high level, constructing to high standards, achieving high-quality development, and practicing high-level management,\" Ningxia Qinghua Group aims to turn the industrial park into a model park for the circular economy in the coal chemical industry, one characterized by comprehensive recycling of resources, zero emissions of pollutants, a pleasant ecological environment, as well as significant economic and social benefits. By 2015, a sound industrial park coal chemical circular economy industry framework, a technological innovation system, and an incentive mechanism system will have been established. By accelerating the development of circular economy projects, the industrial structure will become more rational, resource utilization efficiency will improve significantly, the quality of economic operations will enhance markedly, and waste will be made full use of. In this way, all usable components within resources will be exploited to the fullest extent, their full value will be realized, and zero emissions of pollutants will be achieved.